Purpose & Goodness
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PURPOSE & GOODNESS MARC PRITCHARD, THE ANA’S NEW CHAIRMAN, WANTS TO CHANGE THE WORLD SPECIAL SECTION: ON THE FUTURE OF VIDEO ADVERTISING IS SPEC WORK WORTH IT? DECEMBER 2016 COVER/COURTESY OF P&G; THIS PAGE/SHUTTERSTOCK.COM Leadership and Marketing Excellence CONTENTS DECEMBER 2016 Board of Directors Get the latest from all of the ANA’s ROGER ADAMS, USAA publications in ANA Newsstand. PAUL ALEXANDER, EASTERN BANK Leave comments, watch video, share DANA ANDERSON, MONDELEZ INTERNATIONAL online, and more. ana.net/newsstand MARYAM BANIKARIM, HYATT HOTELS LINDA BOFF, GENERAL ELECTRIC CHRIS BRANDT, BLOOMIN’ BRANDS ROB CASE, NESTLÉ 03 GAURAV CHAND, DELL DAVID CHRISTOPHER, AT&T CHRIS CURTIN, VISA SUZY DEERING, EBAY DEANIE ELSNER, KELLOGG SANJAY GUPTA, ALLSTATE JACK HABER, FORMERLY OF COLGATE-PALMOLIVE JON IWATA, IBM BRADLEY JAKEMAN, PEPSICO GERALD JOHNSON II, AMERICAN HEART ASSOCIATION JEFFREY JONES II, UBER MAGGIE CHAN JONES, SAP AMERICA DENISE KARKOS, TD AMERITRADE 14 JOHN KENNEDY JR., CONDUENT RICH LEHRFELD, AMERICAN EXPRESS KRISTIN LEMKAU, JPMORGAN CHASE CHANTEL LENARD, FORD PAGE ALISON LEWIS, JOHNSON & JOHNSON #ANALOG BOB LIODICE, ANA 02 The big change coming to ANA magazine; T-Mobile’s drive to ROB MASTER, UNILEVER NADINE McHUGH, L’ORÉAL connect cars to the IoT; a picture-perfect change on Instagram; SUSAN POPPER, HEWLETT PACKARD ENTERPRISE upcoming events; key stats; quick facts; and more. MARC PRITCHARD, PROCTER & GAMBLE RAJA RAJAMANNAR, MASTERCARD TONY ROGERS, WALMART PAGE A FORCE FOR GOOD DIEGO SCOTTI, VERIZON 04 New ANA Chairman Marc Pritchard has used P&G’s marketing JAMES SPEROS, FIDELITY INVESTMENTS MEGAN STOOKE, GENERAL MOTORS to talk about social issues and make a difference in the world — his MARC STRACHAN, DIAGEO plans for the industry are no different. // BY JOHN PATRICK PULLEN NUNO TELES, HEINEKEN JIM TREBILCOCK, DR PEPPER SNAPPLE MEREDITH VERDONE, BANK OF AMERICA PAGE SPECIAL SECTION: DEBORAH WAHL, MCDONALD’S 09 THE PLAY FOR VIDEO ADVERTISING KAREN WALKER, CISCO SYSTEMS RODNEY WILLIAMS, MOËT HENNESSY From virtual reality to vertical video to smart TVs and faster connections, video has hit some major milestones in 2016, so // CONTRIBUTED BY JEFF MINSKY @ANAMARKETERS FACEBOOK.COM/ANA what’s next? Executive Editor Production Director DUKE FANELLI FREDERICK KNECHT PAGE IS SPEC WORKING? Editorial Director Publisher KEN BEAULIEU KRISTINA SWEET 14 A calculated risk for agencies and a less-than-perfect indicator of [email protected] Editor what marketers can expect for their brands, spec work may not be ANDREW EITELBACH ANA worth the trouble. // BY UREY ONUOHA [email protected] 708 THIRD AVE., FLOOR 33 NEW YORK, NY 10017 Art Director 212.697.5950 SORAE LEE PAGE #ANALYSIS Copyright © The ANA (Association of National Advertisers) 2016. 17 Technology that once existed only in science fiction is now avail- All rights reserved. Reproduction in whole or in part without express written permission of the publisher is strictly prohibited. able in many consumers’ back pockets. Here’s a look at artificial // BY ANDREW EITELBACH Opinions expressed within are not to be considered official expres- intelligence, by the numbers. sions of the ANA. The ANA assumes no responsibility for errors or omissions appearing within. The ANA reserves the right to accept COVER/COURTESY OF P&G; THIS PAGE/SHUTTERSTOCK.COM COVER/COURTESY or reject all editorial and advertising matter. The ANA does not assume any liability for unsolicited materials. ANA.NET // 1 #ANALOG PROGRAMMING NOTE hange before you have to.” That quote, In January ANA magazine will join the ANA’s other pub- from former GE CEO Jack Welch, has lications — B-to-B Marketer and Activate — online as part of held particular relevance for me the the new ANA Newsstand. This new blog-style portal (which “ past few months. As marketers well you can check out right now at ana.net/newsstand), will know, change is inevitable and being maintain the same level of original reporting and engaging ready for it is essential to continued success — and for ANA content as our print publications while enhancing the expe- magazineC the time to change has come. rience with mobile compatibility, video, embedding, social Before rising print costs can begin to impact the quality of sharing, reader commenting, and more. the award-winning content readers expect to find within I encourage you to visit ANA Newsstand and send me these pages, ANA will evolve to a digital-only publication. As your feedback at [email protected]. We’d love to know December closes out the last chapter of 2016, so too does what you think. Thanks for reading. this issue mark the final print run of ANA magazine. — Andrew Eitelbach, editor, ANA magazine VIEW MORE Instagram is introducing something marketers have been CMOs who expect keen for ever since the platform launched Stories earlier this year. Stories, a Snapchat-like feature that lets users 4 IN10 the benefits of artificial post short videos or photographs that expire after 24 intelligence will be difficult to explain hours, now allows users to add a link to Stories posts, to consumers. a first for the platform. Previously, Instagram had not source: 2016 Weber Shandwick and KRC Research study permitted links on any kind of post. To start, the ability to add links is limited to verified accounts, and those looking at the post won’t actually HITTING see a link. Instead, they’ll get a “see more” call to action at the bottom of the image. THE LIKE ON Viewers can tap or swipe up to visit the link from within the app. In addition to links, users can play with a Boomerang setting and incorporate MOBILE ADS mentions of other users into their Stories posts. Facebook’s revenue from mobile ads is projected to continue growing over the next two years. Pinterest users who make more than $100,000 annually. 2015 2016 2017 2018 Last month, the social site expanded its Marketing Partners $13.19 $21.98 $29.71 $37.98 program to help advertisers reach more of the social 40% site’s users. PRICE IN BILLIONS source: 2016 eMarketer source: 2016 Oracle Data Cloud and Pinterest Research OF T-MOBILE DONGLE/COURTESY OF INSTAGRAM; PHONE/COURTESY 2 // ASSOCIATION OF NATIONAL ADVERTISERS DRIVING $148.8 BILLION INNOVATION How much U.S. brands will spend on T-Mobile is giving local advertising in 2017, a 2.4 percent increase over 2016. consumers a new route Calendar source: 2016 BIA/Kelsey U.S. Local Advertising Forecast 2017 to the information 2017 ANA BRAND MASTERS superhighway with CONFERENCE a dongle that plugs RAMPING UP February 15–17 into a car’s onboard Dana Point, Calif. diagnostics port. The CONTENT SyncUP Drive, which works In order to fuel their content marketing 2017 ANA MEDIA with any car manufactured after strategies, most marketers expect to CONFERENCE 1996, will give users an analysis create more original content in 2017 than March 1–3 of driving habits, with the ability they did in 2016. Orlando, Fla. to set alerts for dangerous behavior or operation that causes 2017 ANA ADVERTISING wear and tear; engine status 73% 21% LAW & PUBLIC POLICY and maintenance reports; and CONFERENCE real-time location information. MORE SAME March 28–29 The data is beamed to an app Washington, D.C. on the user’s smartphone. The 3% 2% dongle, which also acts as a 2017 ANA BRAND ACTIVATION CONFERENCE Wi-Fi hotspot for car passengers’ UNSURE LESS devices, debuted last month. April 19–21 source: 2016 Content Marketing Institute and Chicago, Ill. MarketingProfs report 2017 ANA ADVERTISING // WATCH IT FINANCIAL MANAGEMENT Removing gender bias from CONFERENCE advertising increases purchase May 23–26 intent by more than 26 percent San Diego, Calif. among consumers and 45 percent among women consumers 2017 ANA/BMA MASTERS specifically. That’s according OF B2B MARKETING to new research conducted by CONFERENCE Advertising Benchmark Index May 31–June 2 on behalf of the ANA Alliance for Chicago, Ill. Family Entertainment, which launched the #SeeHer campaign earlier this year to help eliminate inaccurate portrayals of women in advertising. Last month the campaign // For more, visit ana.net/events. released a video rallying marketers and brands to join the movement. Watch the video at ana.net/161201 and learn more about the #SeeHer campaign at seeher.com. ANA.NET // 3 A GOOD EXAMPLE New ANA chairman Marc Pritchard believes advertisers have a responsibility to make ads that benefit the social good. The results, as his work at Procter & Gamble has shown, can be measured in much more than metrics BY JOHN PATRICK PULLEN 4 // ASSOCIATION OF NATIONAL ADVERTISERS A GOOD EXAMPLE ANA.NET // 5 magine a woman — an associate brand manager — in a meeting with an executive who is many rungs her superior on the corporate ladder. But he’s not just any big-wig. He’s the company’s chief brand officer, responsible for one of the world’s largest ad budgets, which I fronts 20 billion-dollar brands. Well into his fourth decade with the company he has held 25 positions, ranging from a cost analyst in the paper division to his current spot, where he’s the marketing industry’s No. 1 power player, as Ad Age has called him. Twice. “I was extremely nervous,” says casting and coming up with a perfor- of consumer insight. The team found that Procter & Gamble’s North America De- mance that was so perfect and so real,” of the 50 million girls who enter puberty odorants Brand Director Janine Miletic, he says. “You feel like you’re really watch- around the world every year, more than who was in that exact scenario several ing something happening.” half experience a significant drop in con- years ago. “Enormous butterflies.” fidence due to the physical, emotional, If her experience sounds like a scene and hormonal changes they go through.